Should We Go For Investment? Is Savings Not Enough?


Do you think that your earnings are enough to complete all your dreams which are dependent on money? If your answer is “no” then you should not ignore investment, because it can help you to achieve your bigger financial need. It requires proper knowledge and planning.
Have you already thought about investment? If yes, then it’s good, but if not, you must think about it because it is one of the things which can’t be avoided in this modern world. If you take financial investment lightly, then you are going to face a financial crisis in the future.

Image by Nattanan Kanchanaprat from Pixabay


There is one thing to keep in mind that it can only help when we have proper knowledge about investment, otherwise you can lose your money in the stock market and many types of charges & taxation. So, before investing in anything gain knowledge of personal finance and the sector in which you are going to invest your money.

Need Of Money Which Can’t Be Fulfilled By Our Regular Income

We need money for many occasions like foreign travel, buying your dream car, health emergency,  higher education, children’s wedding or some other instant needs. These needs can not be fulfilled by a regular income source. We somehow manage to save some money regularly, but the total collected amount is not too big to fulfil such needs. 

It becomes very tough to handle these situations, and that time we start thinking about from where I can take money, should I ask for money from relatives and friends or go for a loan.

Why should not try now, so that this type of situation does not come in the future. Then we think this the first thing which comes in our mind is savings and that’s right it is the first step of our future financial planning. Investment is the second step because without having money there is nothing like investment.

Should We Go For Investment? Is Savings Not Enough?

The first thing that you will ask that investment means we want to increase our money, but I don’t need too much money, I’m a common man and want to live life as a common man. Did you think that we have to spend more money to live the same lifestyle in the future.z

I’m not a rich person and my dreams are not too big that we need too much money. I have planned and have savings to fulfil the requirement of money.

Think that you planned, you need $25,000 for a particular thing after 15 years and you start saving money for this from now. But, do you think that the price of that particular thing will be $25,000? Of course not, If I take rate of inflation to be 5%, then after 15 years the price of the same thing will be around $52,000.

Are you surprised? Did you think amount will be too much? Or you are thinking that I have considered rate of inflation too high.

I want to tell you that 4% to 6% is called a normal rate of inflation, 8% to 10% is called a high rate of inflation. This means I have not taken wrong consideration. You are surprised because you have not thought that the price may increase to this extent. Now, you have got an idea that why your savings are not enough.

Prepare Yourself Before Investment

If you are going to invest money immediately after reading this article, then stop, because it is not as easy as it seems. There are many things to learn before investing in any things like property, bank FD, the stock market or mutual funds etc. Everything has their own prose and cons, terms and conditions of investment and taxation rules.

So, prepare yourself before taking any action, otherwise you may lose even your savings that you have accumulated by hard work.

You don’t need to take too much stress that how will learn all these financial terms and investment process. There are a lot of online resources available, you can search on google and read articles, blog posts and you can also go for YouTube videos which is nowadays very popular.



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Should We Go For Investment? Is Savings Not Enough? Should We Go For Investment? Is Savings Not Enough? Reviewed by Admin on Sunday, December 29, 2019 Rating: 5

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